"The question is ... will we go from job creation to growth in final demand. I think we are proceeding along that path, but I think we have a ways to go," he said.

He said there was no sign of "dramatic inflationary pressures despite the gas pump" because higher gas prices have been partly offset by lower prices for other items.

In response to questions, Fisher made clear he felt the Fed has taken all the steps that it should to stimulate the economy. "You know where I come down, I think we have done enough," he said.

"There is so much liquidity in the system, why would we add more, unless we had a crisis on our hands or something that is happening where we are seeing significant slippage in the economy?"

The best course for central bank policymakers is to be patient and monitor the strength of the recovery, Fisher suggested. "I think we should sit, wait, watch and look, if the economy continues to improve, see how we will exit," he said.

Fisher said the Fed wasn't going to let inflation get out of control and said investors need to realize they can't count on an endless supply of monetary easing.

"A lot of investors ... have counted on us to provide the tailwind rather than just doing the hard work that one needs to do in order to ascertain underlying valuation," he said.

"I think the easy part for those that just rode on the jet stream of Federal Reserve accommodation is over ... They should now go to work and do their analysis," he added.